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UNITED NATIONS—U.S. President Barack Obama mixed soaring rhetoric with ground-level truths Wednesday in a speech laying out sweeping changes to American foreign aid policy.

Saying that the Universal Declaration of Human Rights recognizes “the inherent dignity and rights of all people, including the right to a decent standard of living,” Obama told a cheering audience at the United Nations’ summit on the millennium development goals that it was time to put aside the “old myth” that development is “mere charity that does not serve our interests . . . and that certain countries are condemned to extreme poverty.”

And he said, “in our global economy, progress in even the poorest countries can advance the prosperity and security of people far beyond their borders, including my fellow Americans.”

But he warned, “we need to be big-hearted but also hard headed.”

Obama’s new policy will focus on economic strategy that targets countries most likely to help their own people, and “create conditions where assistance is no longer needed.”

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He said that Washington would do its part to lift millions out of poverty, but development should not be the work of governments alone, opening the door to partnerships with private donors and charities.

Leaders of rich and poor countries should be more accountable, Obama said.

“We know that countries are more likely to prosper when governments are accountable to their people,” he said, adding that his government would lead a global effort to combat corruption.

Obama also urged donor countries to “resolve to end the hollow promises that are not kept,” and commit to “the same transparency (we ask) from others.”

Evidence of good governance would be a strong factor in making future aid decisions, Obama said. A strategy paper released earlier in the day indicated that Washington would target fewer countries with more concentrated aid, rather than spreading resources thinly: a strategy that the Harper government has put into practice in Canada.

But, Obama told the UN meeting, “we will not abandon those who depend on us for lifesaving help.”

Also Wednesday, the Harper government braced for what would be an embarrassing loss in its bid to win a temporary seat on the United Nations Security Council, The Canadian Press has learned.

Canada could lose to Germany in the first round of voting and might not win a tough fight on a second ballot against Portugal, say government sources.

The three countries are vying for two temporary, two-year seats on the UN’s most powerful decision-making body.

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